Union to fight Transfield redundancies

Up to six Marlborough staff are set to lose their jobs if a redundancy proposal by telecommunications engineering firm Transfield Services goes ahead.

The Telecom lines contractor's proposal to make 154 staff around the country redundant was revealed yesterday by the Engineering, Printing and Manufacturing Union (EPMU).

One-hundred-and-twenty-five of the redundancies would involve field managers, designers and field technicians. In Marlborough the redundancies would affect field technicians.

Transfield corporate affairs manager David Jamieson has said the proposal was the result of a need to "adapt and evolve" the business to stay ahead of "significant changes" in the telecommunications industry.

Following a consultation process, the firm intends to make its final decision known on September 4.

Transfield Services Blenheim union delegate Craig Bryce said the 38 Marlborough staff were unhappy and disappointed with the proposal.

As one technician had already left the firm and had not been replaced, Mr Bryce said five staff would be affected by the redundancies if they went ahead.

EPMU said Transfield was a major contractor for Telecom and the redundancies would show Telecom's failure to properly fund the network.

In June, Telecom's network access business Chorus awarded Transfield a 10-year, $1 billion contract to carry out field operations in several parts of the country.

But it also announced it was bringing in Australian company Visionstream in some areas, making it the third company doing the work, along with Transfield and Downer EDI Engineering.

The three 10-year contracts were worth a total of about $3b.

EPMU has said it would fight the redundancies.

It also said the entire industry was being starved of cash as Telecom moved to squeeze profit from its operations.

That could be seen in the attempts by Visionstream to force workers into "dire" contracting arrangements.

"The union is calling for the Government to step in now before it is too late for the skilled workforce and for New Zealand's vital telecommunications infrastructure."

Union national secretary Andrew Little said the the proposal "did not add up" because of the recent Chorus deal.

Telecom had an ongoing tactic of playing contractors off against each other to drive prices down, he said. "It's a model that's hurting our members and endangering the long term security of New Zealand's broadband."

Mr Little said the union also planned to ask Transfield to extend its consultation period, as it was concerned about its short three-week duration.

- The Marlborough Express